Ball State University says it will not remove alumnus John Schnatter's name from the university's entrepreneurship institute despite other organizations disassociating themselves with the pizza mogul for his use of the N-word.

The board of trustees released a statement Friday saying it would continue its support of the John H. Schnatter Institute for Entrepreneurship and Free Enterprise. It said his use of the racial slur was "inappropriate" but it was not used "in a derogatory manner seeking to demean any individuals or groups."

The news broke last month that Schnatter used the N-word during a training call in May that was meant to help him respond to difficult issues, including race. Schnatter apologized and resigned his positions as Papa John's board chairman and a U of L trustee.

The statement, signed by Ball State board Chairman Rick Hall, said Schnatter has been generous and helped provide people with opportunities to succeed.

"In our experience with John, he has never expressed racist views," Hall wrote, adding that Schnatter has "unequivocally denounce racism" and "reaffirmed those views to us personally."

Hall said the board reviewed the situation and its context before making the decision.

"Higher education plays a unique role in the support of free speech and the exchange of ideas that lead to better understanding," the board of trustees said in a statement. "In that pursuit, it does not mandate perfection. The language used by John was insensitive and painful to others, making a review of context appropriate."

Hall ended by saying the university recognizes that some will disagree with the position and that the board hopes the community will share the board's "unwavering commitment to a diverse and welcoming campus."